Hunter Point Capital

In the spring of 2023, Hunter Point Capital faced a pivotal decision that could define its trajectory as a new player in the growing GP stakes business. As the firm neared completion of three high-profile GP stakes investments, consuming nearly a third of its initial fund, an unexpected opportunity emerged to expand into GP Financing Solutions. This new line of business, including Net Asset Value ("NAV") lending and preferred financing, aligned with Hunter Point's long-term strategy but arose earlier than anticipated. Expanding from a GP stakes-focused firm to a multi-product platform could potentially solidify Hunter Point's position within the broader GP capital solutions ecosystem. However, this move also carried significant risks, including operational strain, potential conflicts with existing investors, and concerns about the firm's strategic focus and capacity. Should Hunter Point seize the opportunity to diversify now, or focus on strengthening its position in the GP stakes market first?